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How Much Does It Cost To Hire A Production Company?

Updated: May 5, 2021



For a growing company, video coverage is essential. Whether it's video advertising, employee training videos or product demonstration videos, a well placed video by the right production crew can accelerate your company ten-fold. In this article, not only will I be covering the average cost of a production company but I will also be breaking down why how production companies come up with there prices.




The Harsh Truth


The truth is, no matter how much you want an easy answer to this question, there simply isn't one. It varies per individual project and depending on the production company. Some film crews have a crew of 3 and some 8 or more and they all need to get paid there individual rates. It varies from state to state as well. You wouldn't pay as much in Atlanta Georgia as you would in California or New York. This is why most TV networks are located in Atlanta. Because the rates are so low. The rates are high in LA because of inflation, cost of living and Hollywood boosting the market for movie production (which isn't the same as tv production). Your best bet for a proper quote is to ask yourself what you need realistically for your project, then learn what each individual position cost on average and add them up for a grand total.




The Break Down


So now you know that the price varies. If a production company gives you a flat rate with out asking questions for a quote, you should run for the hills, because that company is either going to charge hidden fees along the way or they simply aren't experienced. Lets start by finding out the average rates for the main positions per hour. Keep in mind that the salary varies depending on experience location and education level.


- Camera man A and B

According to Salary.com, a cameraman's salary varies from 13 - 30 dollars an hour with the median being 20 an hour.


- Hair/Makeup artist

According to Salary.com, a Makeup Artist salary varies from 8 - 13 dollars an hour with the median being 10 an hour.


- Sound Mixer/Boom Operator

According to talent.com, a Boom Operator salary varies from 15 - 34 dollars an hour with the median being 23 an hour.


- Script Writer

According to Salary.com, a Script Writer salary varies from 27 - 35 dollars an hour with the median being 30 an hour.


- Film Editor

According to careerexplorer.com, a Film Editor salary varies from 13 - 50 dollars an hour with the median being 25 an hour.


- Film/Creative Director

According to careerexplorer.com, a Director's salary varies from 17 - 75 dollars an hour with the median being 36 an hour. Of course there's the extreme cases that Hollywood provides that go over 75 an hour.


Talking Prices


Just to give you a ball park estimate, lets say you want a commercial for your company and you want to hire a full crew. If you take the average of each position from above and add them up, you get 164 dollars an hour. It takes a minimum of two days to make a average commercial, 16 hour between the two days. That's roughly 2,600. The company is probably going to add on 20 percent so that it can profit from the project. Some companies may charge more some less, but for this exercise lets just say 20 percent. 20 percent of 2600 is 520. Add that up and you get 3120. So on average you're looking at around 3,100 for a two day commercial. Of course it could be a lot more expensive than that when you consider how many positions can be filled for optimizing a film crew. They're still the other positions to consider. Positions like: cinematographers, Various different Producers and Assistant Producers along with the Pre production and set up crew that I did not mention. As you could image, the price very well could jump tremendously depending on your budget and how high quality you want your commercial to be.



Summary Conclusion


In conclusion, each production company varies depending on the location, the difficultly of the project and how experienced the crew members in the production company are. Also, keep in mind that there could be other variables at play, like referral fees from an agency (if the production company is connected to one). If the production company allows it, pick and choose crew members that'll benefit your project the most. Perhaps you don't need a make-up artist or a sound guy. Or perhaps you need them both but only need one cameraman instead of two. Each project is it's own unique project with different needs. A silent film may not need a sound mixer. An interview style video probably will need a sound guy but not so much two camera men. It all varies.



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